MACKINAC ISLAND — University of Michigan President Mary Sue Coleman said on Thursday the state's universities should focus on recruiting more out-of-state students.

"As a state, if you look at all 15 universities, we are underperforming in terms of our out-of-state student population," she said. "That is, we have capacity, and these students come paying the full freight. They actually add tremendously to the economy in the state of Michigan."

U-M has one of the highest non-resident tuition rates of any public university in the nation. Out-of-state juniors and seniors pay $40,436 in yearly tuition and fees.

Also on stage were Mike Jandernoa, former chairman and CEO of Perrigo; and Hans-Werner Kaas, director of McKinsey & Co.

All are members of a group called Business Leaders for Michigan. They discussed their hopes for the state's future and the 2012 Michigan Turnaround Plan, an aggressive agenda that sets out to make Michigan a Top 10 state for job, economic and personal income growth.

Coleman talked about the importance of developing an entrepreneurial culture around the state's research universities, including the University of Michigan.

"Of course we all look at Silicon Valley as being the model that we want to replicate," she said. "Silicon Valley was a long time coming. I mean, I understand all that and we are in many ways in the infancy of doing this, but we have made a lot of progress."

Coleman said it's OK to be experimental and even start new businesses that might fail. She said failure must be acceptable.

The panel also touched briefly on higher education funding, with Coleman putting it bluntly when she said, on an inflation-adjusted basis, state funding has been reduced to 1964 levels.

"Higher education has really taken it on the chin during this economic downturn," she said, adding the state needs to get back into an investment mode.

Looking back over history, Coleman said, it's clear that investment in providing access to higher education has been tremendously important for the country and the world.

"One of the things that's happened over the last decade, and it's been going on for 30 years, is the burden of the cost of higher education has gone to families and less to the state and less to society," she said. "And we can look at it as sort of a heavy tax on families."

Added Coleman: "I see so clearly the relationship between robust investment in higher education and economic development."

She said she's encouraged by the work the Business Leaders for Michigan has done to show that Michigan universities are producing more graduates with degrees in a science, technology, engineering or mathematics and doing it more efficiently than the national average.

"We are a good investment to drive this economic growth," she said. "And I'm hoping that we're beginning to see the turnaround."

In response to a question from moderator Daniel Howes, Ford said it's absolutely true his company hasn't always been willing to embrace new ideas.

"I think it was part of our insular culture," he said. "We were an insular industry, an insular company."

He talked about the changing perception of the auto industry, even on college campuses, and said young people are coming out of Michigan universities ready to tackle today's challenges.

"I think the universities in general are doing a really good job of highlighting the issues that need to be worked on and giving students the tools to work on them," he said.

A new report released this week showed three Michigan universities have spent more than $300 million on automobile-related research over the past five years.

The analysis by the Lansing-based Anderson Economic Group was released Wednesday on Mackinac Island. It focuses on efforts by a research consortium involving the University of Michigan, Michigan State University and Wayne State University.

Michigan still has 28 percent of the nation's auto sector jobs. Coleman said despite its downsizing, the industry will remain a cornerstone of the state's economy.

The report released this week noted the three universities supported 1,400 auto-related research projects between 2007 and 2011.

Coleman said during Thursday's panel discussion her son bought a Ford Flex and her grandchildren wouldn't get out of it "because they love all the gadgets in the car."

"It's this kind of excitement with the things that are happening today that the students really want to be part of and they want to be part of this problem-solving," she said. "And they are fearless in a way about the future and I think that is very good for all of us."

Coleman also talked about being a leader in producing patents for new technologies and the importance of turning those patents into successful businesses.

"And we just got the first regional patent office in the country in Detroit," she said. "That's a great big deal for us and we should take advantage of that."

Higher education reporter Kellie Woodhouse contributed to this report. Ryan J. Stanton covers government and politics for AnnArbor.com. Reach him at ryanstanton@annarbor.com or 734-623-2529. You also can follow him on Twitter or subscribe to AnnArbor.com's email newsletters.

Comments

Jimmy McNulty

Fri, Jun 1, 2012 : 12:29 p.m.

&quot;the state's universities should focus on recruiting more out-of-state students&quot;......
umm, yeah, because that is TOTALLY the purpose of a state-funded university, to service students elsewhere first.

Lac Court Orilles

Fri, Jun 1, 2012 : 12:10 p.m.

It appears that Slick Rick Snyder is getting to Coleman. What a great idea to bring more aliens to Michigan by admitting them to our tax payer funded school! While they are here they can steal our scientific research findings and take it back to their country. Slick Rick the Nerd might also want to consider appointing an emergency financial manager so he can be assured of getting even more control over our school.

The tuition quoted is for LSA juniors and seniors. Other schools charge more, like Engineering. Freshmen and Sophomores pay slightly less. And add approx $10,000 for room and board. And these are 2011-2012 rates. Likely to rise for the coming year.
Out of state students get no aid... Costs the U less.
How do we have &quot;capacity&quot; when student housing is so tight?

Michael Cohen

Fri, Jun 1, 2012 : 2:20 a.m.

Just to clear away some of the misperceptions... State tax dollars have been a decreasing share of UM revenue since the middle seventies. It's now down to a fairly small percentage of the total UM budget. State funds are the third most important source, well behind tuition and research. The UM is, in fact, a nearly-private university, though it is still trying to do many of the public university things that are in its tradition.
Yes, $40 K is a steep bill. But that's what first rate universities cost. In-state students pay about 1/3 of that. Partly the high total is because they do a lot of redistributing through scholarships and loans. And partly that's because the cost of first rate faculty and facilities is high. The universities UM competes with for top students all have tuitions in the same range. Berkeley didn't used to, but the State of California is now forcing them into what has become known as &quot;the Michigan model&quot; with higher tuition and less state support. No states are willing to pay the true cost of world-class education any more. They have increased their spending on prisons instead. UM has actually been a leader – going back many years before president Coleman – in making the transition to mostly private financing of public education.
On the question of keeping students in the state: in-state students also leave the state. Highly educated grads of UM can compete for jobs in major centers. Why should they stay in Michigan when there aren't many jobs here that use their skills? If we want them to stay, whether they are in-state or out-state, we should loan them tuition and forgive the loans when they work in the state. We should also help them start up companies that use the skills of the best UM graduates.

Michael Cohen

Fri, Jun 1, 2012 : 1:41 p.m.

YpsiVeteran, Princeton's endowment is $17 billion for a student body of 5200. It also has students with much richer parents than UM. It's not a surprise that UM grads end up with more debt.
Still, the debt is a real problem. A good answer to it, as I suggested, is to forgive the loans of grads who work in the State. It's a much more targeted way to use the State's money that brings benefit more directly to Michigan's economy.

YpsiVeteran

Fri, Jun 1, 2012 : 4:33 a.m.

Sorry to bother you with the facts, but UofM, in fact, &quot;redistributes&quot; one of the smallest amounts of tuition money of any college in the country, as recently reported by Reuters and U.S. News and World Reports. Students graduate with more debt after attending UofM, on average, than they do after attending Princeton, for example.
From the article: &quot;For example, graduates of private Princeton University, who paid an estimated $55,000 in tuition, fees, books, and other expenses, were left with the least amount of debt, $5,000, among students surveyed from 25 schools across the country. Graduates of the public University of Michigan Ann Arbor, conversely, were left with the most debt, approximately $27,500, after spending roughly $50,000 in tuition. The school with the highest tuition of those listed, Harvard University, had a tuition of just under $65,000, but its students left with only $11,000 in debt.&quot;
Of course, the reason is clear. If they spend any of that $7 billion endowment on actually helping kids from Michigan attend their school, they might not have enough left over to increase the university president's salary every year, or build lots more buildings.

Jack

Fri, Jun 1, 2012 : 1:45 a.m.

&quot;That is, we have capacity, and these students come paying the full freight. They actually add tremendously to the economy in the state of Michigan.&quot; Nice spin, Coleman. What you really mean is that it is a boondoggle for the University. These kids come here, get educated, and leave the state. They offer nothing to the state of Michigan. Meanwhile, kids who live here and would like to stay in Michigan because their families are here can't afford to attend the U of M due to its out of control tuition rates. If Snyder is sincere about wanting skilled people for jobs in Michigan, he needs to look at the problem of schools like the U of M that cater primarily to the wealthy. The University of Michigan long ago ceased being about Michigan.

trespass

Fri, Jun 1, 2012 : 1:22 a.m.

You should ask President Coleman about her new policy of &quot;continuous enrollment&quot; for graduate students. It is all about getting more tuition from federal research grants. That is taxpayer money that you and I pay for.

trespass

Fri, Jun 1, 2012 : 1:20 a.m.

&quot;She said she's encouraged by the work the Business Leaders for Michigan has done to show that Michigan universities are producing more graduates with degrees in a science, technology, engineering or mathematics and doing it more efficiently than the national average.&quot;
What she is not telling you is that 47% of the PhD degrees in engineering went to foreign citizens. Then American companies like GE are moving their medical engineering division to China because they say they can't find enough American engineers.
Just what we need, fewer opportunities for Michigan students to go to UM. It is about time we get a new president who wants to invest in Michigan citizens. Read more at www.professorkauffmanforregent.com

Arborcomment

Thu, May 31, 2012 : 10:32 p.m.

Other States, (Virginia is one) cap out-of-state attendees at a percentage of total enrollment. If MSC is correct, and there is &quot;extra capacity&quot;, then raise the number of accepted students but follow the same percentage cap for in-state and out-of-state that exists today (or agreed to by the regents or a state law to that effect). Talk of targeting out-of-state and/or increasing their numbers for the $$$, leads to the slippery slope of cash cow vs. resident rights.

Ricardo Queso

Thu, May 31, 2012 : 10:05 p.m.

So Washtenaw sends not one but two buffoons to Mackinac.

MyOpinion

Thu, May 31, 2012 : 8:45 p.m.

The WSJ article I cited is based on data from NCES (not a private business). It agrees with the point that out-of-state students bring additional money:
&quot;Out-of-state students fill both classrooms and budget holes. Traditionally, states charge nonresidents tuition and fees as much as triple that charged to residents. The premium is especially tempting now as state legislatures nationwide slash outlays for higher education.&quot;
But, there is also a demographic explanation. All states will be competing for a shrinking number of college age students and some states are in worse shape than others. Michigan is one of them:
Luring nonresidents is growing more crucial as the demographic dilemma North Dakota confronted years ago spreads to other states. Due to population shifts, 27 states will see declines in home-grown high-school graduates in the next five to 10 years, says a recent report from the U.S. Department of Education
http://on.wsj.com/tOSeMd

Jack

Fri, Jun 1, 2012 : 1:49 a.m.

Many Michigan students with absolutely excellent grades are denied entrance to the U of M. Out of state students take their places. There is no &quot;hole.&quot; Students with 3.8 grade averages and higher are turned away. The U is after the money.

johnnya2

Thu, May 31, 2012 : 10:26 p.m.

Michigan is an older state. About 13.8% of the population is over 65, while the national average is 13%. The population under 18 is 23.7%, while the rest of the country is 24%. The under 5 (which is the real long term number) is 6 % while the rest of the country is at 6.5%. This issue is made worse with a declining population. Fewer people, with a lower % of them being &quot;typical&quot; college age, means fewer students.
Compare those numbers to California, Texas or Illinois and you will see where younger people are migrating too.

Soft Paw

Thu, May 31, 2012 : 8:17 p.m.

Maybe they can recruit some students from China, you hardly ever see any Asians around campus.

G2A2K

Thu, May 31, 2012 : 8:02 p.m.

The Anderson study cited in the story was funded by the Universities it was doing the analysis on which I don't think would hold up as unbiased research. Isn't this really more like paying an ad agency to say what a wornderful job you are doing and how great you are so give us your money.

G2A2K

Thu, May 31, 2012 : 7:56 p.m.

It is all about the money and all she has proven is that there is no difference between the greed on Wall Street and the greed at Univerities. The only reason you would want more out of state students is for the money.

MyOpinion

Thu, May 31, 2012 : 7:54 p.m.

Everyone is jumping on the money these out-of-state (and foreign) students bring to UM.
Another argument for taking out-of-state students is that Michigan is an old population (below average percentage &lt;18). We do not have an abundance of 18 year-olds and future 18-year olds. So, we need students from some of the faster growing states.
Here's an article on North Dakota, which draws on lots of out-of-state college students. And, there's a nice graphic that shows what the % out-of-state is across all states. Michigan is quite low as UM is one of the few public institutions that takes/attracts out-of-state students.
http://on.wsj.com/tOSeMd

Billy Bob Schwartz

Fri, Jun 1, 2012 : 2:02 p.m.

So is U of M.

YpsiVeteran

Thu, May 31, 2012 : 9:03 p.m.

The state of Michigan is short of 18 yr olds? Upon what are you basing that? Don't tell Michigan State - they are literally overrun with applications for next year from in-state students.

braggslaw

Thu, May 31, 2012 : 7:45 p.m.

IT's all about the money... out of state tuition

EyeHeartA2

Thu, May 31, 2012 : 6:47 p.m.

She should be fired for that.
We pay taxes our whole lives to support UM, MSU etc. Our kids shouldn't get kicked to the curb so Mary Sue can have a bigger salary. Disgraceful.

EyeHeartA2

Thu, May 31, 2012 : 11:50 p.m.

Let me type slow, for you. 1 student from out of state = 1 student from in state that can't get into a University that is at capacity (like UM). I do note that it is a quite a bit easier to get into some other schools, like MSU. Where did you go to school again?

johnnya2

Thu, May 31, 2012 : 9:58 p.m.

I missed the part where she mentioned kicking in state students to the curb. When you show me that part, then we will have a discussion. Until then, you are ranting about something that does not exist. The STATE university system is under capacity. It is funny ow the right wing is all for schools of choice in K-12 and allowing a student to choose to go to A2 Public schools, even though they live in Ypsilanti, but are against it for those that live in other states.

Victoria Merinsky

Thu, May 31, 2012 : 5:23 p.m.

K.I.S.S....Easy one ...law of simple numbers...techies/ Engineers/biz majors etc....Go Michigan Tech/Huskies..there you go better academia, lower cost and what do you know 2nd safest campus in the USA as well...Beat that! Take a look and see why Companies are preferring graduates from this Institution, and well will not turn down American students because of financial needs. You got the brains you can earn it at MI Tech! I consider Michigan Tech alike MIT caliber college of the Midwest MICHIGAN TECH the Real Michigan University. More bang for your buck more IQ training for the brain!

djacks24

Thu, May 31, 2012 : 6:22 p.m.

Great school! If you don't mind the nine month long winters.

AfterDark

Thu, May 31, 2012 : 5:49 p.m.

Agreed. This UMich grad was told by a recruiter that UMich engineering grads aren't as desirable as others because they're over trained - too much theory, not enough practical application.

treetowncartel

Thu, May 31, 2012 : 5:20 p.m.

Maybe we should just make it a private institution, then we can start collecting property taxes. I have to imagine the SEV on some of those buildings could really help turn local budgets around.

treetowncartel

Fri, Jun 1, 2012 : 12:40 p.m.

Isn't concordia associated with a religion, making them a non-profit?

johnnya2

Thu, May 31, 2012 : 10:13 p.m.

Do you understand how property tax is assessed? The U would NOT pay property tax as a private institution. Concordia is a private school. Why not tell us how much they pay in property taxes each year. Here is a hint:
Go here and put Concordia as the property owner and let us all know how much they pay in property taxes for their property on Geddes.
https://is.bsasoftware.com/BSA.IS/default.aspx
Don't let facts mess with your theories though

craigjjs

Thu, May 31, 2012 : 4:48 p.m.

What could possibly be motivating Ms. Coleman to desperately seek out of state students who pay more tuition?
In other news: &quot;University of Michigan chief 5th-highest paid public university president in nation&quot;.

Craig Lounsbury

Thu, May 31, 2012 : 4:31 p.m.

I have a great idea.....lets find a new president willing to do the job for half the price. Somewhere out there in the wide world of 7 billion people is somebody who could do what Mary Sue does just as well for a whole lot less money. How about that for a swell idea? I mean bottom lines are bottom lines, right?

Sparty

Thu, May 31, 2012 : 6:31 p.m.

What does the Mayor have to do with this? Exactly nothing. The Regents hire the President.

Bertha Venation

Thu, May 31, 2012 : 5:17 p.m.

Oh Gosh... Don't give Mr. Mayor any ideas!

YpsiVeteran

Thu, May 31, 2012 : 5:13 p.m.

I'll bet we could never find anyone more out of touch with reality, who would whine more and offend more people every time they speak in public, though. Only the best for the U.

Ryan J. Stanton

Thu, May 31, 2012 : 4:28 p.m.

I asked U-M for the current breakdown of out-of-state versus in-state students attending U-M. Spokesman Rick Fitzgerald told me for undergraduates the mix is right around 65 percent from Michigan and 35 percent non-resident. It's been hovering at that since the mid-1990s, he said.
You can find the actual numbers here:
http://sitemaker.umich.edu/obpinfo/files/umaa_enrl_2011.pdf

Stuart Brown

Fri, Jun 1, 2012 : 2:27 a.m.

Ryan,
It sounds like the figures from Rick Fitzgerald are for all three UofM campuses (Flint, Dearborn &amp; Ann Arbor). The incoming Freshman class of 2011 was 40% out-of-state on the Ann Arbor campus. Including the Grad students brings the out-of-state percentage to 43%.

trespass

Fri, Jun 1, 2012 : 2:19 a.m.

Ryan- the URL doesn't work

YpsiVeteran

Thu, May 31, 2012 : 5:28 p.m.

From the above link:
Total &quot;Resident&quot; students, 2011: 24,210
Total &quot;Non-Resident, 2011: 18,506
Grand Total: 42.716
As another poster pointed out, 45% of the total enrollment,including everyone other than &quot;Visiting Scholars&quot; and &quot;Post-Graduate Medicine&quot; students, is already &quot;non-resident.&quot;

SalineBob

Thu, May 31, 2012 : 4:25 p.m.

Many tax paying Michigan residents are already upset at the current rate of U of M out-of-state students. Of course it's all about the money. Another example of why U of M might just as well be a private institution (ie U of Penn) and that MSU is the Michigan State University (ie Penn State).

SalineBob

Fri, Jun 1, 2012 : 2:03 a.m.

Johnny--not the rate of money--the rate or number or percentage of out of state students taking slots at U of M that in state students are losing out on.

johnnya2

Thu, May 31, 2012 : 9:53 p.m.

Why in the hell would a Michigan resident be mad about out of state tuition rates? If they are, they are just plain stupid.

Unusual Suspect

Thu, May 31, 2012 : 4:21 p.m.

Here's a silly idea: how about keeping costs and tuition down to a reasonable level, so you can educate Michigan's citizens and not have to go searching for more money from out-of-state students?

wolfman jack

Thu, May 31, 2012 : 9:23 p.m.

There is a state focused education outlet : community college.

YpsiVeteran

Thu, May 31, 2012 : 5:10 p.m.

Please. You obviously have not been sufficiently indoctrinated. The U ONLY has a seven billion dollar endowment. That simply will not do. Please get with the program. Mary Sue won't rest until the endowment reaches ONE HUNDRED BILLON DOLLARS, and then she can take over the world. Just ask her.

SEC Fan

Thu, May 31, 2012 : 4:16 p.m.

Not sure I agree with targeting increasing out of state students and definitely don't understand the statement that UM has excess &quot;capacity&quot;.
Currently UM accepts about 50% of the 30,000 undergrad applicants. Additionally, 44% of the undergrads are non-residents (i.e., Out of State).
So where's the excess &quot;capacity&quot;? (I know some aren't qualified, but not that many)
And how many Michiganians are going to be denied entrance to accommodate an increase of the Out of State students?
It's a state school receiving state funds...priority should be given to in-state applicants.

AnnArBo

Thu, May 31, 2012 : 4:03 p.m.

Where to begin..........could someone ask her why the heck one year costs 40K? Or why tutiton out strips every other measured cost increase each year?

YpsiVeteran

Thu, May 31, 2012 : 5:19 p.m.

You could ask her, but then you'd just be subjected to an ugly diatribe about those pesky in-state students who work their butts off, get great grades and test scores, but then have the audacity to come from moderate means. There's nothing Mary Sue hates more than a hard-working state resident from a hard-working family.

catcal

Thu, May 31, 2012 : 3:56 p.m.

1) She said UM has capacity; I didn't see anything about out-of-state students displacing in-state students
2) saying &quot;full freight&quot; is not super classy, MSC.

YpsiVeteran

Thu, May 31, 2012 : 5:08 p.m.

Class has not ever been something she's been accused of possessing.

xmo

Thu, May 31, 2012 : 3:47 p.m.

&quot;Undocumented&quot; students get in state tuition. What ever &quot;Undocumented&quot; means?

GoNavy

Thu, May 31, 2012 : 4:03 p.m.

Exactly. We need to prevent all of those shifty Canadians from sneaking across our borders and using their crafty knowledge of English to infiltrate our fine public schools.

Greg

Thu, May 31, 2012 : 3:36 p.m.

This is a state funded institution. Why would anyone have a problem with MI people attendeding it???
Same thinking that wants to dictates quota's for every group that that they like in the name of diversity. Taking the best of those who apply is just to simple, logical and rational for some.

johnnya2

Thu, May 31, 2012 : 9:51 p.m.

@ Craig
YES they are elected by us and THEY decide who to hire to best run the University that belongs to us. I own Apple stock. Guess what. I do not get to tell management I want a new gadget on my IPAD. The entire concept of REPRESENTATIVE democracy is to elect people who have the time to delve deeper into the issues than the average person does.
Mary Sue has done very well in her job to increase funding for the U, and keeping its brand loyalty high.
I have never understood those against out of state students. It is the same as a hotel tax or airport fee. It taxes those who do not live in the area to use a service in an area. It would seem the right wing should love that. They want lower taxes all the time. Of course the problem with that is other states also compete and lower standards which has led to wages stagnating, job insecurity and the redistribution of wealth to the top 1%.
The fact is, the way Michigan needs to change the paradigm. If you want more jobs and businesses here, you can offer two things. Free higher education to ALL residents for all those that can meet the requirements to attend the U of their choice. Free single payer health care for all Michigan based businesses. How many companies would love to locate where they do not have the concern of health care benefits. Employees would demand to move to Michigan to assure their children's education an increase the chances of those living in poverty to get themselves out through education
https://www.kalamazoopromise.com/

Craig Lounsbury

Thu, May 31, 2012 : 6:41 p.m.

further more, for all intents and purposes the place is ultimately run by the elected board of regents as specified in Article VIII Section 5 of the Constitution of the State of Michigan.

Craig Lounsbury

Thu, May 31, 2012 : 6:30 p.m.

GoNavy,
it doesn't matter where the funding come from, we the people of the State of Michigan own the place. Its our University and when private donors and alumni make donations they make them to our University. To the extent that those donations offset our direct costs doesn't change the ultimate ownership of the University.

YpsiVeteran

Thu, May 31, 2012 : 5:07 p.m.

Great, GoNavy. They can send us back the paltry few million they still get from us, and then no one will care what they do. This plan has the added benefit of delivering us all from the sanctimonious, pathetic whining of Mary Sue to which we are constantly being subjected.

GoNavy

Thu, May 31, 2012 : 4:02 p.m.

Rhetoric aside, less than 4.6% of the University's operating budget comes from the State. U of M long ago transformed itself into a &quot;private&quot; public school, for all intents and purposes.

javajolt1

Thu, May 31, 2012 : 3:33 p.m.

Interesting.....
The State of Michigan and its taxpayers subsidize U of M with tax dollars, but because costs are out of control, we want to recruit out-of-state students because the tuition take is triple.
What about getting costs under control and recruiting more in-state students, since it is our money that gets shifted to Mary Sue.

GoNavy

Thu, May 31, 2012 : 3:30 p.m.

Rather than expending efforts attracting out of state talent, why don't we make efforts to prevent in-state talent from leaving once they graduate?

Sparty

Thu, May 31, 2012 : 6:27 p.m.

That would require a more progressive society instead of the backwater, 1950's style radicalism that the republican legislature has been pushing since 2011.

redwingshero

Thu, May 31, 2012 : 3:34 p.m.

Bazinga

treetowncartel

Thu, May 31, 2012 : 3:13 p.m.

Instead of no child left behind, it is now Michigan children left behind

Billy

Thu, May 31, 2012 : 3:07 p.m.

Greed is still greed...

ChrisW

Thu, May 31, 2012 : 2:52 p.m.

It is kind of sickening when a state-owned, taxpayer-funded institution chooses a foreign student over a local one with exactly the same test scores. Nothing new, though - been going on for 25 years.

rm1

Fri, Jun 1, 2012 : 2:58 a.m.

ChrisW,
I and another poster pointed out that less than 5% of the budget of what you had called a &quot;taxpayer-funded institution&quot; actually comes from the State of Michigan.
And your rejoinder is that the state's contribution is actually 20% of a smaller component of that budget??
So?
It remains that above 95% of the funding for U-M does not come from the State.
And our point remains: in the circumstances, it is misleading and inaccurate to refer to the University as a &quot;taxpayer-funded institution.&quot;
And I do get impatient with those who complain endlessly about how the University takes property off the City tax rolls -- &quot;devours&quot; it, one poster feverishly said -- without remembering the economic impact on the City of the University's over $5 Billion budget.

johnnya2

Thu, May 31, 2012 : 9:36 p.m.

@djacks,
Not a single church in this town paid property taxes either. Every non-profit in this state does not pay sales tax. The Secretary of State office does not pay property tax either. The fact is the University (which is OWNED by the state) would be stupid to charge themselves property tax. It would be like charging yourself rent in your own home.
http://www.michiganinbrief.org/edition07/Chapter4/Chapter4.htm

djacks24

Thu, May 31, 2012 : 6:19 p.m.

Not to mention they don't pay a cent in property taxes for all of the property they've devoured in Ann Arbor/Washtenaw county.

ChrisW

Thu, May 31, 2012 : 5:28 p.m.

rm1, the state supplies UMich with more than 20% of its general fund revenue. That doesn't count the dorms, hospitals, or athletics, though. The hospitals lost money last year, I think.

rm1

Thu, May 31, 2012 : 5:09 p.m.

&gt;&gt; a state-owned, taxpayer-funded institution &lt;&lt;
Taxpayer-funded? -- not so much.
Something UNDER 5% of the U-M $5Billion+ budget comes from the State of Michigan, and that percentage has been sliding down for years, and will likely continue down.
If more out-of-state students, paying twice the tuition, will help with these budget realities, and will increase he student body's intellectual and experiential diversity, all without displacing Michigan students (&quot;we have the capacity&quot;), why on earth shouldn't the University admit more out-of-state students?
Better to have some facts like this, rather than slogans, when arguing this important issue of public policy.

GoNavy

Thu, May 31, 2012 : 3:29 p.m.

To wit, she said out of state, not foreign.

thecompound

Thu, May 31, 2012 : 2:49 p.m.

You mean out-of-$tate?

smokeblwr

Thu, May 31, 2012 : 2:57 p.m.

I like to say it: OUT OF $TATE!!!

smokeblwr

Thu, May 31, 2012 : 2:39 p.m.

While it sounds bad, she is right. Out of state and foreign kids bring in more monies to UM via high tuition, plus they tend to smarter than the locals and add more prestige to the school. This also equals $$$ in research funding.
So, when can the MI taxpayers start expecting dividend payments on our investment in this for-profit institution?

mtlaurel

Thu, May 31, 2012 : 9:41 p.m.

A college education begins at age 18: smarts at that age is pretty similar across cultures..studied hard,good scores,has good learning skills,an organized person,a motivated person,can set goals, There are many qualified kids in Mich and the Midwest who would be eager to attend Univ of Mich except for the cost. This is not about the kids...it is about an agenda for the University, and does not speak well for the leadership at this time. I sincerely hope the paradigm shifts.

GoNavy

Thu, May 31, 2012 : 4:34 p.m.

Smokeblwr-
I lived on the east coast for 8 years after graduating. I wouldn't say they're particularly intelligent out there. Simply a different culture. Not only that, but the coasts attract talent from all over the country - in other words, they do not have some innate lock on home-grown talent.

smokeblwr

Thu, May 31, 2012 : 4:23 p.m.

We are rubes here compared to the East Coasters. Just look at us arguing on AA.com all day instead of going to museums or working at a job.

GoNavy

Thu, May 31, 2012 : 4 p.m.

Smokeblwr,
I'm from Michigan, and I did in fact attend the University of Michigan. When I applied my standardized test scores suggested that I was better equipped than 99% of the U.S. test-taking population that year.
I had many intelligent classmates as well who attended the U. Nowhere was it evident in the time I spent in Ann Arbor that out-of-state students were especially endowed with any particularly acute level of intelligence.

smokeblwr

Thu, May 31, 2012 : 3:36 p.m.

If you went to UM you know that the in-state kids do not need to meet the same academic standards as the out-of-state kids.

redwingshero

Thu, May 31, 2012 : 3:31 p.m.

So attending students from within state are gomer pyle's? That's ignorant to say without any statistics.

GoNavy

Thu, May 31, 2012 : 3:28 p.m.

&quot;Tend to be smarter than the locals,&quot; eh? I'm ready for the evidence.

smokeblwr

Thu, May 31, 2012 : 3:21 p.m.

What I meant was getting a higher-caliber out of state kid boosts UM's prestige, which allows them to bring in more research projects and leads to the big money they want.

redwingshero

Thu, May 31, 2012 : 3:03 p.m.

Do you know for sure that out of state tuition dollars go towards research? HIgher tuition yes, but what is the breakdown for what department/places that money goes?
It is bad to say it. She should have kept it to herself.